All posts tagged Long-Term Unemployment

In a recent Think Tank post, I showed that long-term unemployment is still not recovering at the same rate as other economic indicators, many of which are back to historically typical rates. Here, I will review some potential explanations for the sudden rise and slow decline in long-term unemployment. Read More »

Some economic indicators, including the short-term unemployment rate, have recovered to levels associated with “normal times.” But long-term unemployment remains high: Almost 2% of the labor force is unemployed and has been so for at least six months.

The persistence of long-run unemployment in 2014 is something of a surprise. Read More »

One of the most disturbing aspects of the slow recovery from the Great Recession was the sharp rise and persistence in the share of the unemployed who have been jobless for six or more months: from a pre-recession average of about 15% to a post-recession high of 45%, the rate is still about 37%.

Among the main concerns about those without jobs for long periods is that their skills erode, making them less employable (if they don’t drop out of the labor force altogether, as many appear to have done). If that is the case, then the Fed and investors watching closely may be looking to only a fraction of the labor force that is unemployed, now about 6%, as the best indicator of “full employment,” or the level below which wage and eventually product inflation will begin heating up again. Read More »

WASHINGTON–Partisan gridlock has at times slowed proceedings in Congress virtually to a halt. Not on Thursday.

Both the House and Senate Thursday passed a jumble of high-profile bills under rapid, occasionally eyebrow-raising, and sometimes downright sneaky procedures.

In the day’s boldest maneuver, House GOP and Democratic leaders enabled a measure to pass by staging a quick voice vote shortly after reconvening from a recess. The bill, a 12-month patch preventing a 24% cut to physicians’ Medicare payments from kicking in next week, faced ebbing support from lawmakers and industry groups pushing for a longer-term deal. Read More »

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Washington Wire is one of the oldest standing features in American journalism. Since the Wire launched on Sept. 20, 1940, the Journal has offered readers an informal look at the capital. Now online, the Wire provides a succession of glimpses at what’s happening behind hot stories and warnings of what to watch for in the days ahead. The Wire is led by Reid J. Epstein, with contributions from the rest of the bureau. Washington Wire now also includes Think Tank, our home for outside analysis from policy and political thinkers.